Payday loans...urghhhhhh

iVillage Member
Registered: 06-12-2003
Payday loans...urghhhhhh
5
Thu, 06-12-2003 - 6:07pm
I'm new here and so glad I found this site to post on...I feel like I'm having a nervous breakdown...We got really behind..my husband gets so upset when the bills aren't paid or if he can't spend money on his hobbies..so I took out a payday loan to keep the checking account from over drawing..I didn't have the money to pay it back when it was due so I went to another one in town and borrowed to pay the other back...my husband does't know about then and would torment me if he did...It is just a vicous cycle now and don't have anyway to pay them back..just keep paying the interest and reloaning. OUr credit is not good because of divorce and bankrupcy we went through before we married. I feel like the walls are caving in and it is too big to fix..Has anyone ever used a payday loan. It is so embarressing to admit I let things get this bad...
iVillage Member
Registered: 08-14-2002
Fri, 06-13-2003 - 1:03am
This must be very difficult for you, and I do know how you must feel. Unfortunately, it is situations much like yours that bring people to this board, and you've come to the right place for a sympathetic ear and soft shoulder. Lots of us have been in the same boat, some worse - but all of us on different levels to ridding ourselves of debt. Welcome!

My BIL started with one payday loan to pay a bill, then got another to pay the first - just like you. Before he knew it, he had 15 (fifteen!) different payday loans all over the city and was in deep trouble faster than he could imagine. It was a vicious cycle that he could not get out of. He ended up in court, and moved in with us rent-free for a few months until he could get caught up.

If you want some advice (and if you don't, then just ignore me), you need to find a way to pay those loans off ASAP, and not by getting another payday loan. Can you borrow the money from a friend or relative? Can you get a second job part-time, just long enough to pay them off? Can you borrow on a car (I mean a bank loan, not one of those title-loan places - this is just the same trap as a payday loan)? Have a big garage sale? Sell something that you don't need? Cut something from the budget that you could live without for a while (cable TV, internet, cel phone, live on beans and bologna for a month, or something else)? Refinance an existing loan (like a car) for a month or so break in payments? (Some companies will postpone one or two principal payments to the end of the loan and require only interest payments for a month or so.)

In addition (again, if I'm overstepping my boundaries, then disregard my advice), IMHO a heart-to-heart talk with your DH would probably be in order. Maybe he doesn't realize how much his hobbies jeopardize the budget. I dunno... only you can answer that question. I remember one poster recently whose husband found her in tears while reviewing their credit card statements - so she showed him what had been going on. He was shocked to see how much was being charged in interest -he just wasn't aware - and they made a plan to get out of debt.

I truly wish you the best of luck in working this out. And please keep posting back here to let us know how you're doing! You'll find lots of support, tips, ideas and inspiration on this board. And no one will judge you or criticize you (rules do not allow that on this board).

{{{HUGS}}}

Msfit



                  &nbs

iVillage Member
Registered: 03-26-2003
Fri, 06-13-2003 - 8:59am
I agree with msfit, is there any way you can get the money to pay back those payday loans? IMHO places like that just....well I won't go there. I have seen a friend of mine use them all the time. She even borrowed from her 401K to pay them off, only to take more out. I think if there was an award for the most financially irresponsible - she would win! But that is a whole 'nother story.

You have made a positive step coming here and will learn alot. I also think you should discuss it with your DH. It will be difficult to pay down your debt unless both of you understand your situation.

Welcome and {{{hugs}}}

Avatar for noahs_mommy2007
iVillage Member
Registered: 04-17-2003
Fri, 06-13-2003 - 10:37am
I know how you feel. I am in the same situation you are. I can just kick myself for getting started up with those stupid places. Now I am only worse off. The only thing I can tell you to do is what I am trying to do. Look for a second job. Also, as soon as you get one paid off, don't borrow from them again. I think I might be able to get one of mine paid off this month and I am never going to go back to them after I do. I am getting some students loans in August and I am going to use that money to pay off the other payday loans. I know how you feel. This has been a terrible time for me because of these loans. I agree with the others though that you need to tell your husband what is going on. He needs to know the situation you are in. Maybe both of you can get a second job to pay for the loans or maybe he knows someone you could borrow the money from. Good luck!
iVillage Member
Registered: 06-12-2003
Fri, 06-13-2003 - 11:54am
Thanks to you all for your support and advice...I am glad I found a place to share this stuff with. I know I need to talk to hubby about this..it is just so hard. You have given me some good suggestions though and I will take them to heart...
iVillage Member
Registered: 04-14-2003
Mon, 06-16-2003 - 3:01pm
Those kind of places ought to be outlawed with the high interest you're paying on them. They totally disgust me. I have done two of them and done the exact same thing you did with the misery of trying to pay them back. It was a nightmare and I feel for you. I will do without, starve or whatever before I'll ever get money from one of those places again. But what's done is done. The advice you've gotten is good, have a garage sale, sell something on EBay, anything to pay it off ASAP and you've learned a valuable lesson I'm sure. Good luck!